The invention relates to methods, systems and apparatus for the filing of electronic forms with the government; and more particularly, to new methods, systems and apparatus for detecting and correcting errors in electronic forms filed with the government.
Every year, millions of forms are filed with the governmental agencies in the United States (U.S.) and around the world. For example, in the U.S., millions of federal, state and local tax returns, SEC (Securities and Exchange Commission) filings, and other government benefit forms, such as applications for government benefits, are filed. Many of these forms are now able to be filed electronically, such as by preparing an electronic form for filing with the appropriate government agency. For instance, some forms are available to be completed online via a website, and some forms may be completed using online or standalone software applications which are configured to receive data for completing the form and then creating a form data file for electronic submission to the appropriate government agency.
Since tax returns are one of the most common electronic forms filed with government agencies, many of the examples described herein are directed to the preparation and filing of a tax return. However, the present invention is not limited to tax returns, and may be similarly applied to any electronic forms filed with a government agency.
Tax returns are forms filed by a taxpayer with a tax agency, such as the Internal Revenue Service (IRS), a state tax authority (e.g. California Franchise Tax Board), city tax authority, or other tax collecting agency, containing information for determining the tax liability of the taxpayer. Computerized (also referred to as “electronic”) tax return preparation applications have become very popular and allow a user, such as a taxpayer or a tax professional, to prepare and electronically file a tax return using a computing device (e.g. personal computer, tablet computer, smart phone, etc.). The tax preparation application may be a desktop application that resides and operates on the computer operated by the user or an online application that resides on a server that is accessible by the user's computer via a network such as the internet. The interface for a server based application can be an internet browser or specialized software residing on the local computer. There are a number of examples of desktop software applications and online tax preparation applications for preparing tax returns. Examples of desktop applications are TurboTax® software for PC and Mac, ProSeries® and Lacerte® tax preparation applications, which are known consumer and professional tax preparation applications available from Intuit Inc., Mountain View, Calif., H&R Block TaxCut software, available from H&R Block, Inc., Kansas City, Mo., and TaxACT® software available from 2nd Story Software, Inc. Examples of online tax return preparation applications are Turbotax® Online, H&R Block Online tax prep, and TaxACT® Online.
Whether a desktop application or an online application, the use of the application to prepare a computerized tax return may be basically the same. For example, certain tax preparation applications present a list of tax-related questions or data entry fields to the user as a series of interview screens or fillable forms, in response to which the user enters the appropriate data or answers if they are known. For example, certain interview screens or questions may relate to personal and family information such as the user's social security number, marital status, number of dependents, etc. Other interview screens and questions may relate to the taxpayer's finances such as wages, retirement plan contributions, and social security, state and federal taxes that were paid or withheld as provided in Form-W2. The data fields of an electronic tax return may be entered in many other ways, as well. For example, data may be entered into the electronic tax return by filling in data fields in a fillable form, the data may be electronically imported from financial service providers of the taxpayer (such as banks, stock brokers, financial planners, etc.), the data may be transferred from another database on the computer or remotely stored on a different computer or storage device/server, and/or the data may be transferred from a previous year's tax return, or from any other suitable source.
Further, an electronic tax return may be a business or corporate return, and the tax data fields may, for example, relate to payments and benefits such as contributions to a retirement plan. Thus, data fields may relate to travel expenses or determinations of portions of expenses that are deductible.
Upon entry of all of the taxpayer data, the tax preparation application prepares an electronic tax return. The electronic tax return is then processed and formatted into an electronic tax return data file according to the requirements and specifications of the pertinent tax agency to which the tax return is being filed. Finally, the electronic tax return data file is filed with the appropriate tax authority such as the Internal Revenue Service (IRS), a state tax authority (e.g. California Franchise Tax Board), city tax authority, or other tax collecting agency, by transmitting the electronic tax return data file to the tax authority. Alternatively, the tax return data file can used to create a paper forms submission in which the tax return forms are printed and then submitted to the appropriate tax authority.
Upon receipt of the electronic tax return data file, the tax agency typically runs a validation on the data file to check for certain errors in the tax return. If the tax agency detects error(s), then the tax return submission is rejected, and a rejection message and an error message identifying the errors may be sent to the submitter of the tax return.
A similar procedure is available for preparing and filing other government forms, such as SEC forms and the like.